Market Update
Market is FAST and Median Home Prices are Supported
Although our lives have significantly changed in the past two months, the real estate market is remaining busy - in many ways a traditional Spring market.
I parsed through the April MLS data to see how this April’s market compared to April 2019 in hopes to quantify the effects of the “Stay at Home” order. The amount of new listings that came on the market during April is down 25% from last year at this time. With low inventory and historically low interest rates, we are seeing multiple offers on many listings. Median home prices are up when comparing April 2019 to April 2020 -Seattle is 7.4%, West Seattle 6.7% and Tacoma 12.7%. (See interactive graphs below for more info)
There have also been many ways that the process of buying and selling a home has changed. I have implemented new showing procedures, increased virtual tours and videos and more, in order to help you continue to buy and sell real estate in a health-conscious way.
What this means for buyers:
Work with your lender and have full loan approval in place. Keep in mind that your credit score is more important than ever as lenders/investors are tightening requirements.
Inventory is extremely low. Many homes are selling in multiple offers.
Be prepared to move quickly. Although many sellers wait to review offers, some are opting to take an offer sooner.
If a home has sat on the market for two weeks or more, there appears to be more room to negotiate.
What this means for sellers:
Virtual tours, open houses and showings are becoming the commonplace.
Buyers have 15 minutes to tour and connect with your home during showings.
Staging is more important than ever.
Consider providing an inspection and sewer scope report for buyers.
I know what the market is doing today. I am seeing factors such as loan options, inventory and access to homes changing as we navigate through this. If you are considering selling in the next year, please get in touch so that I can keep you updated in real time.
See my blog and social media posts for up to date information on how procedures have changed to keep our clients safe and healthy.
Have a question about the market? Get in touch, I would love to speak with you!
King County Residential Homes: Median home prices are 2.9% higher than April 2019
Seattle Residential Homes: Median home prices are 7.4% higher than April 2019
West Seattle Residential Homes: Median home prices are 6.7% higher than April 2019
Tacoma Residential Homes: Median home prices are 12.7% higher than April 2019
The amount of new houses that came on the market in April dropped 25% or more from last year at this time.
Median number of days on market before an accepted contract has dropped to 5 and 6 days. It is likely higher in the city of Seattle because more agents advise sellers to wait to review offers.
This is a graph of inventory compared to homes going under contract. It will take around a month for the buyers to “absorb” the current supply of homes. This indicates what is still a fast-paced market. This shows the uncertainty of buyers in West Seattle.
The average home is selling at or above its original list price.